Thursday, December 2, 2010
2010 Books
1. The Alchemist
2. Hope for the Flowers
3. Scat
4. Lost Symbol
5. The Girl with the Dragon Tattoo
6. The Girl who Played with Fire
7. The Girl who Kicked the Hornet's Nest
Non-Fiction
1. Superfreakonomics
2. The Drunkard's Walk: How Randomness Rules our Lives
3. You On a Diet
4. The Five Rules for Successful Stock Investing
5. Fooled By Randomness
6. The Happiness Project
7. Waiting for Superman
8. Afterschock: The Next Economy and America's Future
Sunday, November 28, 2010
Thursday, November 18, 2010
Where is Superman?
'Why is it that I have a choice of seven different kinds of peanut butter, not even counting the organic brands, and yet kids in my neighborhood don't even have the choice of a single great public school?'
'If in fact we could just eliminate the bottom 6-10% of our teachers and replace them with an average teacher, we could bring the average US student up to the level of Finland, which is at the top of the world today.'
Public education is an example of where market incentives have been misplaced and where the public, more than the politicians, should take leadership into rectifying.
Politics has always(?) been for short-term gains and for securing votes. Education, the effects of which, is measured after generations, will not be an attractive issue for politicians to tackle, much less risk their hides for, unless the public thinking is so.
The public should know that they are the bigger stakeholder in this issue and the least thing they can do is to make it known to their public servants that their vote will depend on how the latter improve public education and be accountable for it.
Monday, November 8, 2010
Saturday, November 6, 2010
Change
Change happens when the cost of the status quo is greater than the risk of change.
In other words, we stick with what we have now, or resist change, until we see or perceive change as something that is better for us. So it all starts with a change in our perception or with our minds before accepting that we have to or need to change.
Wednesday, November 3, 2010
Clooney on His Success
'I'm lucky enough to have gotten success much later in life.
So I have some understanding how much of it is about luck. A lot of times when you're very young and successful, you think it's all about your brilliance. Then you find out later that it probably isn't. You're never quite as good as they say you are, and you're never quite as bad as they say you are. It's all about enjoying what you do, and I love what I do for a living. I have fun.'
Thursday, October 28, 2010
Guide to Retirement
Always make saving a priority.
What Not to Spend Your Time On?
(As a leader of a group) the question is not who's best at performing high-priority functions, but which things can you and only you (as the CEO) get done?
Parenthesis was from me.
Tuesday, October 5, 2010
Managing Oneself
1.What are my strengths?
A person can perform only from his strength. One cannot build performance on weaknesses. What do I find myself doing repeatedly and that comes easily?
2.How do I perform?
Am I a reader or a listener? Do I perform better when most are written out or told? How do I learn? Do I need structure? Do I work alone? Do I like big or small organizations
3.What are my values?
Is the way of doing things at your work align or conflict with your principles? Do I like the way this company does things?
"And then they can and should decide where they belong. Or rather, they should be able to decide where they do not belong."
The answers to the three questions above should somehow be let known not only to yourself but to the other people you work with, so that expectations on how and when a certain work will be done, match or at least nearly meet.
What to contribute (then)?
A plan can usually cover no more than 18 months and still be reasonably clear and specific. So the question should be, Where and how can I achieve results that will make a difference within the next year and a half?
Monday, October 4, 2010
How Will You Measure Your Life?
-------
One of the theories that gives great insight on the first question—how to be sure we find happiness in our careers—is from Frederick Herzberg, who asserts that the powerful motivator in our lives isn’t money; it’s the opportunity to learn, grow in responsibilities, contribute to others, and be recognized for achievements...
My conclusion: Management is the most noble of professions if it's practiced well. No other occupation offers as many ways to help others learn and grow, take responsibility and be recognized for achievement, and contribute to the success of a team. (My note: it can also be the hardest of professions)
-------
For me, having a clear purpose in life has been essential..
The choice and successful pursuit of a profession is but one tool for achieving your purpose. But without purpose, life can become hollow..
-------
If you study the root cause of business disasters, over and over you'll find this predisposition towards endeavors that offer immediate gratification. If you look at personal lives through the lens, you'll see the same stunning and sobering pattern: people allocating fewer and fewer resources to the things they would have once said mattered most.
-------
About culture: They embrace priorities and follow procedures by instinct and assumption rather than by explicit decision- which means that they've created a culture. Culture, in compelling but unspoken ways, dictates the proven, acceptable methods by which members of the group address recurrent problems. And culture defines the priority given to different types of problems..
------
It's easier to hold your principles 100% of the time than it is to hold to them 98% of the time.. You've got to define for yourself what you stand for and draw a line in a safe place.
------
One characteristic of these humble people stood out: They had a high level of self-esteem. They knew who they were, and they felt good about who they were. We also decided that humility was defined not by self-deprecating behavior or attitudes but by the esteem with which you regard others.
Generally, you can be humble only if you feel really good about yourself - and you want to help those around you feel really good about themselves, too.
------
Choose the Right Yardstick
I have a pretty clear idea of how my ideas have generated enormous revenue for companies that have used my research; I know I’ve had a substantial impact. But as I’ve confronted this disease, it’s been interesting to see how unimportant that impact is to me now. I’ve concluded that the metric by which God will assess my life isn’t dollars but the individual people whose lives I’ve touched.
I think that’s the way it will work for us all. Don’t worry about the level of individual prominence you have achieved; worry about the individuals you have helped become better people. This is my final recommendation: Think about the metric by which your life will be judged, and make a resolution to live every day so that in the end, your life will be judged a success.
Saturday, August 7, 2010
Taxes and Recession
Generally, when taxes are cut, consumption increases and this stimulates the economy. However, in a recession, where we have depressed consumption, does this still hold?
We raise taxes in order to fund government spending, which in the absence of consumer demand, is the one stiumulating consumption and trying to revive the economy.
We have seen that tax rebates don't always work..
It depends on who is getting taxed. A temporary tax cut for the poor will stimulate spending, while in case for the rich, it will stimulate saving..
In the end, somehow government must cover the deficit it incurred..
Tough question to answer and history might be the one to tell what the solution(s) is/are.
Saturday, July 31, 2010
Capitalism in Its Most Free
A purely free market system, however how it makes full and perfect sense in theory, can have completely not so ideal consequences in the real world. It can be (and is) a world where a few control the wealth, a society that has no social safety net for its citizens.
A free market system makes complete sense to me when the 'invisible hand' offers the best and fastest way to determine the price of a good and service. . It makes sense when it creates the concept of private ownership - where citizens have the incentive to better his own circumstance.
A country where government is at its smallest, where almost every social service like education, energy, health care, transportation, and even defense is privatized and thus almost resembling a total free market economy will almost only benefit those who can afford such services. This is where I think the pure market economy fails. Though private enterprise for sure can offer the best service, it should also not be forgotten that it serves another motivation: to make profit.
When one is motivated by profit, it will indiscriminately choose those who can afford from those who cannot. What happens then to those who cannot afford? Shall they be just left out?
Another area where a free market economy fails is where people have the capacity to freely speculate on prices of goods (specifically the stock market) What protective mechanism will be in place for citizens when million or billion dollars worth of wealth evaporates into thin air all of a sudden?
And lastly, in a purely free market system, when the economy goes into recession, who will fill in the vacuum of lost demand, upon which economic recovery greatly relies upon?
Chile, Britain, Iraq and the US have been great case studies of real outcomes where capitalism in its most free form has been implemented. Not a pretty picture. Hope we all learn from it.
Saturday, May 15, 2010
Stripped of Emotions
A purely unemotional man will be unable to decide given there is more than one solution to a problem.
Damaiso reported that the purely unemotional man was incapable of making the simplest decision. He could not get out of bed in the morning, and fittered away his days fruitlessly weighing his decisions. One cannot make a decision without emotion... Emotions are there to prevent us from temporizing.. Emotions are called "lubricants of reason".
From Fooled by Randomness by Nassim Nicholas Taleb
Economics of Happiness; Recap of What it means to be Happy
Key points in the speech are enumerated below. Most, if not all, have related posts already in this blog:
1. If you want to be happy, don't live in a rich neighborhood. Happiness is correlated to wealth, but only up to a certain point. Much like Maslow's heirarchy of needs, a certain degree of wealth covers our basic needs like food and shelter. A rich country provides a high standard of living that takes care of these. It has been shown that richer countries provide a higher rate of happiness among its citizens which proves our point. However, comparing the level of happiness of the same country to several years back shows only a very marginal increase. The reason for this is that we measure our degree of happiness relative to others. This just means we feel happier when we see we are better off than others. It's sad to know we're wired like this but we also need to be reminded that there are most of the time, people worse off than us.
2. Flow. We need to find a hobby or if better, an occupation, that makes time fly for us. When this happens, this means almost all, if not all, of your attention and your talents are being applied to what you do. A passion may be another word for this. Disclaimer: this hobby or activity should not be something easy, otherwise we'd be easily bored in no time. In fact, this should be something that 'engages' our natural strengths and propensities.
3. Family and Community. This proves that no man is an island and that man is a social animal. We are born to connect and the more we nurture our relationships the happier we become. One tip: associate with people that will make you better as a person. See also here and here.
4. It's not the pay, stupid. Somehow related to #2, but only to emphasize that a high pay should not be the aim when finding a job. We should look for a job that engages our abilities and provides meaningful relationships. Man is a resilient being and he will find a sort of equilibrium (where he doesn't feel that sad nor that happy) whatever his present circumstance, so he would eventually adjust to his economic situation. Note to myself: Please remember this. See here, here, and here.
5. Be thankful. Last but unfortunately the most overlooked and taken for granted key to being happy. Guilty of this myself. Fortunately, my parents are there to remind me to always count my blessings.
Thursday, May 13, 2010
Karl Popper, Solon and Uncertainty
In applying this to finance, investing: There is really no guarantee a stock will continue to do well.. Finance specialists will always have a model or 'theory' to 'predict' the market but they will always be subject to being proven wrong later.
It thus seems the odds are always stacked against theories because no matter how many times or instances it is proven right, it takes only one 'wrong' instance to take the whole theory down.
This is somehow connected to Solon's observation that we are all servants to uncertainty and that nothing is really permanent, especially one's fortunes.
Nothing is absolute and except change and uncertainty.
We can predict or forecast with confidence on the short term but that still is subject to some degree of uncertainty.
From Fooled By Randomness by Nassim Nicholas Taleb
Wednesday, May 12, 2010
10 Minute Test for Screening Stocks
Friday, March 26, 2010
Simple Test for Investing in a Stock
-The Five Rules for Successful Stock Investing..by Pat Dorsey
Wednesday, March 10, 2010
Monday, March 1, 2010
Buffet Rules
2.If The Business Does Well, the Stock Eventually Follows
3. It's Far Better to Buy a Wonderful Company at a Fair Price Than a Fair Company at a Wonderful Price
4. Our Favorite Holding Period Is Forever
Friday, February 26, 2010
Life is not viewed fairly
This view includes how we look at ourselves. We tend to put more importance to our ideas than others' when we are compensated more. This thought is particularly significant when we interact and 'brainstorm' with our co-workers.
"That is why although there is some little difference in ability between a wildly successful person and one who is not as succesful, there is usually a big difference on how they are viewed."
From The Drunkard's Walk by Leonard Mlodinow
Thursday, February 25, 2010
Success -alternate view
Having been given these two frames of mind, there is more 'science' for taking the point of view that life is a mixed serving of unpredictability and persistence. As humans we are sort of hardwired to think of causality and determinism, thus all the movies about how life is destined.
Our circumstance in life is most often than we care to admit affected by a lot of unpredictable and uncontrollable factors, that it is simply incorrect to credit our success(or failure) to our own talents and doings.
This however doesn't excuse us to be just complacent. Although with modest effort, we will do end up somewhere, it doesn't follow that it is where we truly want to be. Like molecules or atoms, we will constantly bump with other molecules and thus push or pull us to somewhere. But to go to somewhere at least near where we want to go, will require a lot of persistence from our part.
"For in a complex undertaking, no matter how many times we fail, if we keep trying, there is often a good chance we will eventually succeed..
..That deterministic view is the view in which it is mainly the intrinsic qualities of the person or the product that governs success. But there is another way to look at it, a nondeterministic veiw. In this view there are many high-quality but unknown books, singers, actors and what makes one or another come to stand out is largely a conspiracy of random and minor factors- that is, luck..."
from The Drunkard's Walk by Leonard Mlodinow
Monday, February 1, 2010
Quotes
"There is no failure, only feedback" -Mark Allen
"If it's hurting me, it's killing them"
"Going numb is Ironman foreplay"
"They told me it was impossible, I thold them it was inevitable"
“Dignity is when your mind doesn’t allow your body to be as soft as it would like to be.”
"If you think you can, or you think you cant - Your right."
"Fortitudine Vincimus (By Endurance We Conquer)" -- Ernest Shackleton
"Fear is probably the thing that limits performance more than anything - the fear of not doing well, of what people will say. You've got to acknowledge those fears, then release them." --Mark Allen
"There is advantage in the wisdom won from pain" -- Aeschylus
"What we have is based upon moment-to-moment choices of what we do.In each of those moments, we choose.We either take a risk and move toward what we want, or we play it safe and choose comfort. Most of the people, most of the time, choose comfort. In the end, people either have excuses or experiences; reasons or results; buts or brilliance.They either have what they wanted or they have a detailed list of all the rational reasons why not."~ Anonymous"
A man is not old until regrets take the place of his dreams" John Barrymore
"I am not only still dreaming, I am living my dreams." -Emilio De Soto II
"Fear is probably the thing that limits performance more than anything - the fear of not doing well, of what people will say. You've got to acknowledge those fears, then release them." --Mark Allen
"Our truest life is when we are in dreams awake"-H.D.Thoreau
“The arrow that hits the bulls-eye is the result of the one hundred previous misses.”
"In order to get things you never had, you must do things you never did."
Tuesday, January 19, 2010
Turn around
When you discover that you're feeling negative, you have two choices. You can feel even more negative about the fact that you're feeling negative, or you can choose to turn your thoughts around.
When you've suffered a defeat, you can make it even worse by beating yourself up about it. Or, you can use it as a positive inspiration to turn yourself around and move forward in a more effective way.
The moment you realize you've strayed from the path, use that realization as a clear and compelling signal. Use it as a signal that it's time to re-commit to the original goal and get yourself back on track.
Sure, it's unfortunate that you've temporarily lost your way. But there's no reason to add to that misfortune.
In this moment, you can choose any direction, no matter what has just happened. So choose a positive, empowering direction that will bring out the best in you.
This is your opportunity to act with renewed determination and purpose. Turn around, and get yourself going forward again.
-- Ralph Marston
Wednesday, January 13, 2010
The Alchemist
The book has many memorable lines and while I was reading I dog eared many pages so I can take note of my favorite passages.
I'm sure there are a lot of interpretations of what was written in the book but I think I got lost at the last part when the boy turned himself into wind.
The book tells us all about finding and reaching our own destinies. "To realize one's destiny is a person's only obligation". We will face many obstacles of course, but "When you want something, all the universe conspires in helping you achieve it". That is my favorite line of the book, and it's often repeated throughout.
In the foreword, the author tells of the 4 obstacles in reaching one's destiny or "Personal Legend".
First, Being told early on that what we want to do is impossible. "Every blessing ignored becomes a curse"
Second,Fear of hurting those around us in accomplishing our dream. We fear leaving our loved ones behind.
Third,Fear of defeat that we will meet during our journey. "There is only one thing that makes a dream impossible to achieve: The fear of failure". "Your eyes show the strength of your soul".
Last, Fear of realizing the dream after all that we have done to reach it. "Every search begins with beginner's luck and every search ends with the victor's being severely tested"
We can instantly know if we are on the right path. Our hearts will instantly know and will tell us, though silently of course.
"Muktab: It is written"